Malaysia pushes for larger event market share as regional rivals tighten grip

Industry leaders say stronger destination marketing, air access and a strategic events calendar will be critical as Malaysia competes for business with Singapore, Bangkok, Bali and other regional MICE hubs

Malaysia has the infrastructure and destination diversity to win more international business events, but industry leaders say the country needs to become more assertive about selling those strengths as competition for meetings, incentives, conventions and exhibitions intensifies across Asia-Pacific.

A panel discussion was held during the Destination Convention Malaysia event in Kuala Lumpur, moderated by Audrey Raj, Producer and Presenter on BFM 89.9, it brought together George Varughese, Market Vice President, Marriott International Malaysia; Tan Mei Phing, CEO, Malaysia Convention & Exhibition Bureau (MyCEB); Jason Tan Chin Foo, CEO, Sarawak Convention Bureau and Noredah Othman, CEO, Sabah Convention Bureau. They identified collaboration, connectivity and stronger destination marketing as priorities if Malaysia is to capture a greater share of regional MICE business.

The competitive environment was addressed directly during the discussion, with Singapore, Bangkok and Bali among the destinations cited as competing for the same organisers and event budgets. Malaysia’s response, panellists argued, should not be to replicate its neighbours but to sharpen its own proposition. Affordability, connectivity, widespread use of English, cultural diversity, food and hospitality were identified among the country’s advantages.

Malaysia, said one of the speakers, offers a “melting pot of Asia” and a destination environment where organisers’ requirements can be accommodated rather than forcing events into a predetermined format.

From L to R: Audrey Raj, Producer and Presenter on BFM 89.9; George Varughese, Market Vice President – Malaysia, Marriott International; Tan Mei Phing, CEO, Malaysia Convention & Exhibition Bureau (MyCEB); Jason Tan Chin Foo, CEO, Business Events Sarawak (BESarawak) and Noredah Othman, CEO, Sabah Convention Bureau

‘We don’t brag enough’

One weakness identified by the panel was less tangible: Malaysia has not always been aggressive enough in communicating what it has already achieved. Asked what the country’s business events sector was failing to tell the world, the response was unusually candid. “We definitely don’t brag enough,” Tan Mei Phing said. “We’ve hosted many, many international events, high-level events. But I’ve realised we are very shy.”

The argument was that Malaysia needs to communicate not only its ability to stage events but its track record of delivering them. “We don’t tell the world enough. We don’t market enough,” the discussion continued.

For Marriott International Malaysia Market Vice President George Varughese, international hotel brands can contribute to that visibility through their distribution and customer networks, but destination promotion requires a much wider collective effort. “We’ve got to draw their attention more,” he said. “We’ve got to tell the world what Malaysia stands for, what we can offer.”

Malaysia needs an events strategy

Promotion alone, however, will not be enough. Varughese argued that successful competing destinations typically have a strategy underpinning their events ambitions, including a calendar capable of creating sustained demand and international attention. Singapore, Indonesia and Thailand were cited during the discussion, alongside destinations further afield that have built tourism and hospitality demand around major events.

“All of us need to sit together and figure out, with the government, how do we promote Malaysia and what kind of events can we have in this country?” Varughese said. Large-scale sporting, entertainment and cultural events can extend their impact beyond ticket sales, creating hotel demand while putting destinations in front of international audiences.

For Malaysia, the implication is that MICE strategy and the wider events economy should increasingly be considered together. Varughese described events as an economic driver supporting hotels, restaurants, convention businesses and employment.

Connectivity remains a pressure point

Air access is another issue Malaysia will need to address as it pushes international business events beyond Kuala Lumpur. The panel acknowledged that international connectivity is uneven between Malaysian destinations. Sabah benefits from direct regional links into Kota Kinabalu, while Sarawak faces a different connectivity equation. Air access nevertheless should not prevent destinations from pursuing international events, the panel argued.

Different segments of MICE also respond differently to connectivity

Corporate meetings and incentives tend to be more sensitive to direct access, while association conferences and exhibitions can be less constrained by the need to connect through another airport. That has influenced Sarawak’s strategy, with the destination placing greater emphasis on association business and exhibitions.

Large incentive movements can also be adapted around seat availability. Air Arrivals can also be made staggered, by differentiating arrival times.  Panellists described groups from markets including China and Korea arriving in smaller batches over several days or weeks when moving thousands of delegates at once is impractical.

The constraint can even create longer stays when handled creatively, the panel suggested.

Experiences, sustainability and personalisation

Looking three to five years ahead, Varughese identified another shift that will influence destination choice. Future MICE travellers will increasingly expect experiences that distinguish one event from another rather than simply efficient meeting facilities. “People are looking for special experiences,” he said. Sustainability will become still more important, particularly among younger travellers, while technology will remain central to connectivity and the way destinations communicate with delegates.

Personalisation completes the equation

“What is this meeting about? What’s the purpose of this meeting? How are you going to inspire my team?” Varughese said, describing the questions organisers will increasingly expect destinations and hospitality companies to answer. That could create an opening for Malaysia’s non-capital destinations, particularly where culture, nature and local communities can be incorporated into event programmes.

Bigger is not always better

Malaysia also faces physical limitations when competing for the world’s largest congresses and exhibitions. The panel acknowledged that the country does not necessarily have venues capable of accommodating events involving 50,000 to 60,000 delegates. But speakers rejected the idea that success as a MICE destination should be measured solely by the largest event a country can accommodate.

Malaysia can instead target events suited to its available infrastructure, while focusing on frequency, repeat business and the longer-term contribution events make to destinations. That may ultimately be a more pragmatic competitive strategy.

Malaysia does not need to beat Singapore, Bangkok or Bali at every part of the MICE market. Its challenge is identifying where it can compete most effectively — and then making sure international organisers hear the message. As the panel repeatedly returned to one point, achieving that will require convention bureaus, governments, hotels, airlines, DMCs and PCOs to work collectively.

The ambition is already stretching beyond the end of the decade: the panel revealed that teams are working on events as far ahead as 2032.

For Malaysia, the race for future MICE business has already begun.